The Texas Supreme Court ruled Friday that Xerox is responsible for the $1 billion in fraudulent Medicaid payments the company made while overseeing pre-authorizations for Texas Medicaid patients’ dental work.
In a 25-page decision, the state’s high court upheld a Texas Court of Appeals ruling that Xerox — and not the dentists — was responsible for mismanaging and mis-authorizing payments for Medicaid dental services.
The decision comes years after the state found that Texas Medicaid and Healthcare Partnership, a subsidiary of Xerox, allowed workers with limited expertise to approve dental claims for the state’s Medicaid program, the joint federal-state health insurance program for the poor and disabled. The state, dental providers and Xerox have been battling over who is responsible for paying back the funds.
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